Many have not yet faced the thrills (utter stress) that comes with searching (usually for weeks) for a place to live (a small dump that you can call your own). You fill out an application that asks for how much you make, and obviously you ask your mum and dad to transfer some money into your account, so it looks like you have more than you do. When asked for information about yourself you say you’re quiet, clean and studious, because you can’t let the landlord know the truth. For those unaware of the current housing predicament Sydney faces, here is a rundown of the circumstances, and what you can expect when you take part in this fruitful (painful) venture.
Ok, so what actually is this ‘housing crisis’ that we hear about so frequently and how does it affect us?
The housing crisis in Sydney has amplified majorly due to inflation. In the 1980’s 60% of people aged 25 to 40 owned their own home, but now, due to an increase in housing costs, that number has dropped to only 20% (people in the lower fifth of the income bracket). The median house price soared past inflation and the growth of wages, reaching a whopping 250% cost increase. The pandemic and the economic impacts it brought along further saw a 22% in housing prices in April of 2022. Since then, prices have risen another 27.6%. This housing crisis is now costing our economy over ten billion dollars annually, making Sydney the sixth most expensive city in the world to be a resident.
But young people aren’t necessarily thinking about buying houses quite yet – so how does this affect them? This housing crisis has resulted in the median inner-city price for a three-bed dwelling reaching one-thousand dollars a week. To compare, as of 2020 people aged 21 to 34 on average earned $1208 a week. This increased cost of living has meant that 69% of young people aged 18-24 have chosen to stay living at home to save money, and this has also resulted in young workers and students having to move further out of Sydney’s central hub which has evidently resulted in a major loss of productivity due to the cities inefficient commutes. Sydney’s current housing situation favours urban sprawl which has resulted in people having to move further out of the central hub of the city.
But it goes beyond this. Homelessness for Sydney’s youth is at an all time high (23% of people aged 12-24), and young people who are seeking to stabilise their lives or escape family violence are not able to do so.
So how on earth are you going to find a place to live? Well, experts say that the only real answer in having better odds of finding a rental in 2024 are to be extremely efficient in your application process. Housing options are being put up and taken down within days of being posted, so be one of the first to inspect, try to organise a private inspection because property managers want to approve a lease as soon as possible. Write a cover letter about yourself, have references, and most importantly, don’t lose heart, because it’s not you, it’s the market.